Won't that use up more than "a bit" of space then, since every single texture and model is being recorded simultaneously? I had figured it was per player perspective so that the huge amount of space would at least be limited to the FoV of the player. How big are each 2 minute long recordings projected to be?
its not a screengrab/animation/avi, UT uses its own recording method to track the games actors/models/etc, then admins/players can play the demo via the game and are able to switch to the POV of any player in 3rd or 1st person.
honestly, server demos are a good solution, i used to hate UT99 clan matches, youd always have both teams fully arrive except 1-2 people who couldnt get in (i wonder why) then after waiting 10-15mins, they magically appear but both/all claim that recording a demo would crash their clients.
this was a major annoyance, hopefully serverside demos will provide a better solution for clan vs clan games as well as public matches.